New $100 million center to innovate at the intersections of silicone science and organic chemistry to bring new solutions to market

MIDLAND, Mich. - July 31, 2017 -
Today, Andrew
Liveris, chairman and chief executive officer of The Dow Chemical
Company (NYSE: DOW), announced that the Company will begin construction
of a new, $100 million Innovation Center designed to drive innovation at
the intersections of silicone science and organic chemistry at the
heritage Dow Corning corporate campus.

The new facility will host approximately 200 research and development
employees who will explore future technologies at the intersections of
silicone chemistry and Dow’s unparalleled knowledge of materials science
and organic chemistry. Dow, which started exploring silicone chemistry
nearly 80 years ago upon creating the Dow Corning joint venture,
enhanced its ability to combine these technologies after completing the
ownership restructuring of Dow Corning in June, 2016.

“This is a monumental day for Dow, our employees and for Michigan as it
marks another tremendous milestone in our company’s more than 120 year
history,” said Liveris. ”This world-class facility could have been
located anywhere and we chose to invest right here in Michigan because
both the U.S. and the state have a growing and vibrant research,
development and manufacturing sector creating new opportunities every
day.”

The new innovation center will be a key enabler in Dow achieving its
initial $100 million growth synergy target, as well as more than $500
million of additional Dow-enabled bottom-line growth the Company now
expects to achieve across the enterprise from integrating silicones into
the Dow portfolio. This bottom-line growth, coupled with Dow’s latest
cost synergy target of more than $650 million, greatly enhance
silicones’ profitability. Dow now expects EBITDA to increase to more
than $2 billion by the end of 2019 – more than double its initial
projection.

This added R&D power will complement the work of Dow’s more than 1,200
researchers and developers already based in the Great Lakes Bay Region,
to focus on market opportunities such as advancing technologies for home
and personal care products, enhancing and broadening Dow’s energy-saving
building technologies, advancing materials science for critical
infrastructure and driving closer partnerships with customers and value
chain leaders.

Liveris first announced the project in December, 2016, at a Grand
Rapids, Mich. event with then U.S. President-elect Donald J. Trump.

These investments further illustrate Dow’s long-term commitment to
investing and growing in Michigan’s Great Lakes Bay Region, as the
Company also celebrated today the grand opening of its new global
headquarters building in Midland - a state-of-the-art, 184,000
square-feet, six-story building that will host approximately 470
employees and contractors.

During the last 10 years, Dow and its regional development partners have
driven more than $400 million of investment and downtown economic
redevelopment in the Great Lakes Bay Region, home to the Company and
nearly 13,000 of its employees and contractors.

Dow has created more than 10,000 direct and indirect jobs in the United
States in the last four years alone. A significant portion of that job
creation is the result of the Company’s more than $6 billion of
manufacturing investments currently underway on the U.S. Gulf Coast,
which employed 7,000 construction workers at the construction peak and
will result in 500 full-time Dow jobs. Dow recently announced a next
phase of strategic investments spread over the next five years,
extending Dow’s U.S. growth investments to more than $12 billion over a
10-year period. These will support job creation in the U.S., reaching
approximately 3,500 construction jobs and creating 200 full-time
technical, vocational and professional careers, further supporting
nearly 2,000 jobs across the broader economy(1).

About Dow

Dow (NYSE: DOW) combines the power of science and technology to
passionately innovate what is essential to human progress. The Company
is driving innovations that extract value from material, polymer,
chemical and biological science to help address many of the world's most
challenging problems, such as the need for fresh food, safer and more
sustainable transportation, clean water, energy efficiency, more durable
infrastructure, and increasing agricultural productivity. Dow's
integrated, market-driven portfolio delivers a broad range of
technology-based products and solutions to customers in 175 countries
and in high-growth sectors such as packaging, infrastructure,
transportation, consumer care, electronics, and agriculture. In 2016,
Dow had annual sales of $48 billion and employed approximately 56,000
people worldwide. The Company's more than 7,000 product families are
manufactured at 189 sites in 34 countries across the globe. References
to "Dow" or the "Company" mean The Dow Chemical Company and its
consolidated subsidiaries unless otherwise expressly noted. More
information about Dow can be found at www.dow.com.

(1) The American Chemistry Council estimates that every job
created from the business of chemistry creates more than 6 jobs in other
sectors across the rest of the economy.

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affiliated company of Dow